THE Commonwealth Ports Authority is considering to develop the Saipan Seaport as a major transshipment point in Micronesia as it struggles to diversify its sources of income amid the anticipated exit of the garment industry in 2005.
CPA Executive Director Carlos H. Salas said the Saipan Seaport has modern facilities that could adequately meet the port-related needs of cargo bound to other island-nations in Micronesia.
“We are closely looking at other ways to bring in more cargoes from other ports in Micronesia,” Salas said.
“This is still on the drawing board but there is a possibility that Saipan may be serving as transshipment point for Micronesia. How this would help is, it would bring in additional activity or cargo on top of existing cargo bound for Saipan,” he added.
The combined inbound and outbound revenue tons recorded from October 2001 to February 2002 totaled 313,977—down by 9 percent compared to the same period last year wherein 351,789 revenue tons were registered.
From October to February in 2001, we have a total of inbound and outbound cargo of 351,789 revenue tons. So far, for the last five months, we have 313,977 revenue tons. So, we are short by -9 percent to meet last year’s profits,” Salas said.
The CPA chief said the plan will be thoroughly studied.
The garment industry is among the top clients of the Saipan Seaport with its regular imports and exports of apparel products.
But the shipment of garment products have slowed down since last year, particularly the months following the September 11 terrorist attacks.
Sales in the apparel industry plunged to a record low after the attacks as consumers panicked to save on whatever cash they have due to the global economic crisis.
Garment factories in the Northern Marianas are anticipated to relocate to other foreign locations with cheaper minimum wage such as Mexico by 2005—the same year that the World Trade Organization’s signed agreement lifting textile and garment quotas worldwide would take effect.
